Public employees and retirees now know the recommendations of Gov. Haley Barbour’s commission on the state retirement system. What they don’t know is how the Legislature will receive them.
Barbour’s Public Employees Retirement Study Commission on Wednesday recommended freezing cost-of-living increases for three years and considering adding a 401(k)-type contribution plan for new employees instead of the current defined benefit plan only.
It also recommended: considering a change in the age and tiers for drawing benefits; lowering the investment return assumption from 8 percent to 7.5 percent; revamping the board to add non-participant taxpayer members; and continued study of the Special Legislative Retirement Plan (SLRP) that gives legislators more lucrative benefits than regular employees.